Friday, May 13, 2016

Equinix planning a significant San Jose data-center expansion

Santa Clara is definitely the hotspot in Silicon Valley for data centers. The city has their own electric utility which provides the least expensive and most reliable electricity in the area. However, the cost of Santa Clara real estate has gotten to the point where it is not always the obvious choice anymore. Equinix, a Redwood City-based data center giant, is doubling down in South San Jose to meet our ever-growing need for more capacity.

The company already has two data centers at Great Oaks Boulevard (SV1 and SV5) and have purchased 11.15 acres that formerly housed an IBM disk drive campus (there is some irony here). Equinix could build as much as 386,000 SQFT of data center space on the land.

Next door is another 65 acres of land already primed for development. A 150,000 SQFT Costco, 700+ homes, and retail will all likely join the new data center in the neighborhood.

Equinix also owns 18 acres of land at San Ignacio and Via del Oro over Highway 85 where they are planning to build three, two-story data centers that total a whopping 579,000 SQFT. Combined with their latest acquisition, Equinix could be adding nearly 1 million SQFT of data centers to South San Jose.